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Coal India shares go down by 4.6 percent in Friday's trade: Is the sell out plan costing a fall?
Coal India Ltd went down as much as 4.6 percent on Friday morning, after reports said that seven banks were selected to manage sale of stakes, which can raise $1.2 billion.

As was reported by indiatimes.com, today, at 10:00 am, Coal India recovered some changes and was trading 1.8 per cent lower at Rs 245.30. It has hit a low of Rs 238.35 and a high of Rs 250.05 in trade today.

The much debated disinvestment move by Coal India is being implemented to to raise Rs 40,000 crore ($5.87 billion) in the fiscal year ending next March to plug a yawning current account deficit and stave off a threatened ratings downgrade, as was reported by Indiatimes.com

While many of the employees remain divided over the sell out, a five member trade union plans to go on strike from Sept. 23 to protest the share sale to raise other demands. In 2010, the government raise a total of $3.4 billion through an initial public offering of 10 per cent of Coal India. If the present proposed sale goes through then the stake will fall to 85 percent- a figure which is making the company's trade union unhappy.

The government did pledge not to reduce the stake below 90 percent.

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